Selected Acquisition Report (SAR)
RCS: DD-A&T(Q&A)823-191
MH-60R
As of December 31, 2010
Defense Acquisition Management
Information Retrieval
(DAMIR)
UNCLASSIFIED
MH-60R
December 31, 2010 SAR
Table of Contents
Program Information
Responsible Office
References
Mission and Description
Executive Summary
Threshold Breaches
Schedule
Performance
Track To Budget
Cost and Funding
Low Rate Initial Production
Nuclear Cost
Foreign Military Sales
Unit Cost
Cost Variance
Contracts
Deliveries and Expenditures
Operating and Support Cost
3
3
3
4
5
6
7
9
10
11
17
18
18
19
22
25
31
32
UNCLASSIFIED
2
MH-60R
December 31, 2010 SAR
Program Information
Designation And Nomenclature (Popular Name)
MH-60R Multi-Mission Helicopter
DoD Component
Navy
Responsible Office
Responsible Office
CAPT Dean Peters
Air ASW, Assault and Special Mission
Programs (PMA-299) 47123 Buse Rd
Unit IPT, Suite 156
Patuxent River, MD 20670-1547
Dean.Peters@navy.mil
Phone
Fax
DSN Phone
DSN Fax
301-757-5409
301-757-5276
757-5409
757-5276
Date Assigned November 27, 2007
References
SAR Baseline (Production Estimate)
Defense Acquisition Executive (DAE) Approved Acquisition Program Baseline (APB) dated March 22, 2006
Approved APB
Navy Acquisition Executive Approved Acquisition Program Baseline (APB) dated November 29, 2010
UNCLASSIFIED
3
MH-60R
December 31, 2010 SAR
Mission and Description
The MH-60R primary mission areas include Anti-Submarine Warfare (ASW) and Surface Warfare (SUW).
Secondary mission areas include Search and Rescue (SAR), Vertical Replenishment (VERTREP), Naval Surface
Fire Support (NSFS), logistics support, personnel transport, Medical Evacuation (MEDEVAC), and VHF/UHF/Link
Communication Relay (COMREL). The MH-60R is the central component of the "Navy Helicopter Master Plan" and
the Chief of Naval Operations (CNO) approved Helicopter Concept of Operations (CONOPS) that replaces the
aging SH-60B and SH-60F helicopters. The avionics upgrades over the existing SH-60B/F include: a glass cockpit
common with the MH-60S; Airborne Low Frequency Sonar (ALFS) as a long range active dipping sonar; Electronic
Support Measures (ESM) with expanded frequency coverage and location detection; Multi-Mode Radar (MMR) with
long range search, periscope detection, and imaging Inverse Synthetic Aperature Radar (ISAR); Forward Looking
Infra-Red (FLIR) for imaging and laser target designation; Acoustic Processor (AP) for processing ALFS and
sonobuoys; Integrated Self Defense (ISD); and the Mission Planning System (MPS). MH-60R sensors and real-time
exchange of tactical data with the host ship will bring a new dimension of battle space control to the Naval
Commander.
UNCLASSIFIED
4
MH-60R
December 31, 2010 SAR
Executive Summary
A total of 91 MH-60R aircraft have been delivered to the Fleet as of March 22, 2011. To date, five MH-60R
squadrons have been established or transitioned from SH-60Bs. The second MH-60R operational deployment is
currently underway. Full Rate Production (FRP) deliveries to the Fleet continue on-schedule in support of additional
squadron stand-ups and transitions.
An updated Acquisition Program Baseline (APB) for the MH-60R was approved by Assistant Secretary of the Navy
Research, Development and Acquisition (ASN (RD&A)) on November 29, 2010. The APB revised Procurement and
Operations & Support (O&S) costs.
A joint Army/Navy Airframe Multiyear Procurement (MYP) 7 contract with Sikorsky Aircraft Corporation (SAC) was
awarded on December 12, 2007 covering Fiscal Years (FY) 2007-2011. A Follow-on joint Army/Navy MYP 8
contract is currently in work for FY 2012-2016. Planned contract award is December 2011, pending Congressional
approval.
A MYP contract with Lockheed Martin Systems Integration (LMSI) was awarded August 16, 2007 covering FY 20072011 for Lots 5-9 for production of the MH-60R Mission Avionics Systems and associated integration efforts. A
Follow-on MYP with Lockheed Martin Mission Systems and Sensors (LM MS2) for procurement of the MH-60R/S
Common Cockpits, MH-60R Mission Avionics systems and related supplies and services for FY 2012-2016 is in
work. Planned contract award is December 2011, pending Congressional approval.
The Airborne Low Frequency Sonar (ALFS) FY 2010 (Lot 8) was awarded to Raytheon on March 26, 2010 for
procurement of 18 ALFS units.
The Common Data Link (CDL) Hawklink FY 2010 option was exercised under the L3 Communications Corporation
contract on March 15, 2010 for procurement of 51 AN/ARQ-59 airborne terminals and 11 AN/SRQ-4 shipboard
terminals.
System Development and Demonstration (SDD) of the Automatic Radar Periscope Detection and Discrimination
(ARPDD) program continued. Shore based testing of the demonstration radar completed in January 2010 and flight
testing of the demonstration radar completed in December 2010. Contractor flight testing of the SDD radar
completed in December 2010.
The FY 2012 President's Budget (PB) added funding to upgrade the current magnesium Gear Box with an
aluminum Gear Box to reduce corrosion and improve total ownership cost.
There are no software-related issues for this program at this time.
UNCLASSIFIED
5
MH-60R
December 31, 2010 SAR
Threshold Breaches
APB Breaches
Schedule
Performance
Cost
RDT&E
Procurement
MILCON
Acq O&M
Unit Cost
PAUC
APUC
Nunn-McCurdy Breaches
Current UCR Baseline
PAUC
None
APUC
None
Original UCR Baseline
PAUC
None
APUC
None
UNCLASSIFIED
6
MH-60R
December 31, 2010 SAR
Schedule
Milestones
Milestone II
TECHEVAL
Start
Complete
OPEVAL
Start
Complete
Milestone III
Initial Operating Capability
Automatic Radar Periscope Detection and
Discriminator (ARPDD)
ARPDD Interim Process Review (IPR)
(System Design Development (SDD)
Award)
ARPDD Critical Design Review (CDR)
Operational Test (OT) Start
Initial Operational Capability (IOC)
SAR Baseline
Prod Est
JUL 1993
Current APB
Production
Objective/Threshold
JUL 1993
JAN 1994
JUL 1993
OCT 2004
FEB 2005
OCT 2004
FEB 2005
APR 2005
AUG 2005
AUG 2004
FEB 2005
MAY 2005
SEP 2005
JAN 2006
DEC 2005
MAY 2005
SEP 2005
JAN 2006
DEC 2005
NOV 2005
MAR 2006
JUL 2006
JUN 2006
MAY 2005
SEP 2005
MAR 2006
DEC 2005
N/A
APR 2008
OCT 2008
APR 2008
N/A
N/A
N/A
JUN 2009
MAY 2012
JUL 2013
DEC 2009
NOV 2012
JAN 2014
APR 2009
MAY 2012
JUL 2013
UNCLASSIFIED
Current
Estimate
7
MH-60R
December 31, 2010 SAR
Acronyms And Abbreviations
OPEVAL - Operational Evaluation
TECHEVAL - Technical Evaluation
Change Explanations
None
UNCLASSIFIED
8
MH-60R
December 31, 2010 SAR
Performance
Characteristics
Availability (%): Mission
Capable
Net Ready: All
interfaces, services,
policy-enforcement,
controls, and datasharing of the
NCOWRM and GIGKIPs will be satisfied
to the requirements of
the specific Joint
integrated architecture
products (including
data correctness, data
availability,and data
processing), and
information assurance
accreditation specified
in the threshold and
objective values.
Crew Protection:
Crashworthiness,
Crew Restraint, and
Egress
SAR Baseline
Prod Est
Current APB
Production
Objective/Threshold
82
70
Demonstrated
Performance
82.3%
82%
100% of
requirements
100% of
100% of
requirements enterprise level or
critical
requirements
100% of
enterprise level or
critical
requirements
100% of
enterprise level or
critical
requirements
Crew
Seating
35/25/20G,
Passenger
20/20/20
Crew
Seating
35/25/20G,
Passenger
20/20/20
Crew
Seating
20/20/20G,
Passenger
14/13/12G
Crew
Seating
20/20/20G,
Passenger
14/13/12G
82
Crew
Seating
20/20/20G,
Passenger
14/13/12G
Current
Estimate
Requirements Source:
Capability Production Document (CPD) Approved by JROCM 260-05 on November 28, 2005
Acronyms And Abbreviations
GIG - Global Information Grid
KIPs - Key Interface Profiles
NCOWRM - Net-Centric Operations & Warfare Reference Model
TBD - To Be Determined
Change Explanations
None
Classified Performance information is provided in the classified annex to this submission.
UNCLASSIFIED
9
MH-60R
December 31, 2010 SAR
Track To Budget
RDT&E
APPN 1319
BA 05
PE 0604212N
Project 2412
ASW & OTHER HELO
DEVELOPMENT/MH-60R
LAMPS
ASW & OTHER HELO
DEVELOPMENT/MH-60R
LAMPS
Project H2412
APPN 1319
BA 05
PE 0604216N
Project 1707
Project H9215
MULTI-MISSION HELO
UPGRADE
DEVELOPMENT/MH-60R
MULTI-MISSION HELO
UPGRADE
DEVELOPMENT/MH-60
PMLCC
BA 01
PE 0204243N
ICN 018200
MH-60R
BA 06
PE 0204243N
(Navy)
(Sunk)
(Sunk)
(Navy)
(Sunk)
Procurement
APPN 1506
APPN 1506
ICN 0605
(Navy)
(Navy)
(Shared)
UNCLASSIFIED
10
MH-60R
December 31, 2010 SAR
Cost and Funding
Cost Summary
Total Acquisition Cost and Quantity
BY2006
$M
BY2006 $M
Appropriation
SAR
Baseline
Prod Est
RDT&E
Procurement
Flyaway
Recurring
Non Recurring
Support
Other Support
Initial Spares
MILCON
Acq O&M
Total
TY $M
Current APB
Current
Production
Estimate
Objective/Threshold
1519.0
9108.0
7386.3
6726.4
659.9
1721.7
1535.1
186.6
0.0
0.0
10627.0
1718.9
11360.2
------0.0
0.0
13079.1
1890.8
12495.9
--------N/A
SAR
Baseline
Prod Est
1821.3
11481.6
9781.6
8491.3
1290.3
1700.0
1423.2
276.8
0.0
0.0
13302.9
1375.7
10049.0
8176.2
7471.0
705.2
1872.8
1682.7
190.1
0.0
0.0
11424.7
Current
APB
Current
Production Estimate
Objective
1570.4 1680.8
12573.5 12719.1
-- 10882.2
-- 9466.2
-- 1416.0
-- 1836.9
-- 1547.2
-289.7
0.0
0.0
0.0
0.0
14143.9 14399.9
The current APB cost estimate provided sufficient resources to execute the program under normal
conditions, encountering average levels of technical, schedule and programmatic risk and external
interference. It was consistent with average resource expenditures on historical efforts of similar size, scope,
and complexity and represents a notional 50% confidence level.
Quantity
RDT&E
Procurement
Total
SAR Baseline
Prod Est
Current APB
Production
2
252
254
UNCLASSIFIED
2
298
300
Current Estimate
2
298
300
11
MH-60R
December 31, 2010 SAR
Cost and Funding
Funding Summary
Appropriation and Quantity Summary
FY2012 President's Budget / December 2010 SAR (TY$ M)
Appropriation
Prior
RDT&E
Procurement
MILCON
Acq O&M
PB 2012 Total
PB 2011 Total
Delta
1591.4
5974.3
0.0
0.0
7565.7
7565.5
0.2
Quantity
Development
Production
PB 2012 Total
PB 2011 Total
Delta
To
Total
Complete
0.0
0.0 1680.8
1351.3
83.5 12719.1
0.0
0.0
0.0
0.0
0.0
0.0
1351.3
83.5 14399.9
886.4
59.9 14241.0
464.9
23.6
158.9
FY2011 FY2012 FY2013 FY2014 FY2015 FY2016
55.8
1105.2
0.0
0.0
1161.0
1161.0
0.0
17.7
1028.2
0.0
0.0
1045.9
1046.3
-0.4
6.9
979.9
0.0
0.0
986.8
1014.9
-28.1
3.8
1063.5
0.0
0.0
1067.3
1238.6
-171.3
5.2
1133.2
0.0
0.0
1138.4
1268.4
-130.0
To
Total
Complete
0
0
2
37
0 298
37
0 300
26
0 300
11
0
0
Undistributed Prior FY2011 FY2012 FY2013 FY2014 FY2015 FY2016
2
0
2
2
0
0
134
134
134
0
0
24
24
24
0
0
24
24
24
0
0
24
24
24
0
UNCLASSIFIED
0
24
24
30
-6
0
31
31
36
-5
12
MH-60R
December 31, 2010 SAR
Cost and Funding
Annual Funding By Appropriation
Annual Funding TY$
1319 | RDT&E | Research, Development, Test, and Evaluation, Navy
Non End
End Item
Non
Item
Total
Total
Total
Fiscal
Recurring
Recurring
Quantity
Recurring
Flyaway Support Program
Year
Flyaway
Flyaway
Flyaway
TY $M
TY $M
TY $M
TY $M
TY $M
TY $M
1990
------10.2
1991
------28.5
1992
------53.0
1993
------72.7
1994
------70.7
1995
------70.0
1996
------65.1
1997
------55.2
1998
------85.3
1999
------209.0
2000
------110.1
2001
------77.8
2002
------133.7
2003
------89.9
2004
------81.9
2005
------80.1
2006
------57.8
2007
------28.9
2008
------74.2
2009
------67.9
2010
------69.4
2011
------55.8
2012
------17.7
2013
------6.9
2014
------3.8
2015
------5.2
Subtotal
2
-----1680.8
UNCLASSIFIED
13
MH-60R
December 31, 2010 SAR
Annual Funding BY$
1319 | RDT&E | Research, Development, Test, and Evaluation, Navy
Non End
End Item
Non
Item
Total
Total
Total
Fiscal
Recurring
Recurring
Quantity
Recurring
Flyaway
Support
Program
Year
Flyaway
Flyaway
Flyaway
BY 2006 $M BY 2006 $M BY 2006 $M
BY 2006 $M
BY 2006 $M
BY 2006 $M
1990
------13.7
1991
------36.8
1992
------66.6
1993
------89.2
1994
------85.2
1995
------82.7
1996
------75.7
1997
------63.4
1998
------97.1
1999
------235.3
2000
------122.1
2001
------85.1
2002
------144.9
2003
------96.0
2004
------85.1
2005
------81.1
2006
------56.7
2007
------27.7
2008
------69.8
2009
------63.1
2010
------63.8
2011
------50.6
2012
------15.8
2013
------6.1
2014
------3.3
2015
------4.4
Subtotal
2
-----1821.3
UNCLASSIFIED
14
MH-60R
December 31, 2010 SAR
Annual Funding TY$
1506 | Procurement | Aircraft Procurement, Navy
Non End
End Item
Non
Item
Total
Total
Total
Fiscal
Recurring
Recurring
Quantity
Recurring
Flyaway Support Program
Year
Flyaway
Flyaway
Flyaway
TY $M
TY $M
TY $M
TY $M
TY $M
TY $M
2000
5
175.9
-25.8
201.7
35.3
237.0
2001
---44.7
44.7
7.3
52.0
2002
---11.2
11.2
3.8
15.0
2003
-32.5
-36.5
69.0
52.4
121.4
2004
4
168.4
-68.4
236.8
108.7
345.5
2005
6
204.0
-71.4
275.4
155.4
430.8
2006
12
394.8
-58.2
453.0
204.0
657.0
2007
25
714.7
-71.9
786.6
131.3
917.9
2008
28
864.1
-96.3
960.4
115.7
1076.1
2009
30
904.8
-115.3
1020.1
145.0
1165.1
2010
24
679.9
-97.4
777.3
179.2
956.5
2011
24
763.8
-117.1
880.9
224.3
1105.2
2012
24
826.8
-93.8
920.6
107.6
1028.2
2013
24
867.9
-52.5
920.4
59.5
979.9
2014
24
900.7
-102.1
1002.8
60.7
1063.5
2015
31
983.9
-97.1
1081.0
52.2
1133.2
2016
37
984.0
-256.3
1240.3
111.0
1351.3
2017
-----83.5
83.5
Subtotal
298
9466.2
-1416.0
10882.2
1836.9
12719.1
UNCLASSIFIED
15
MH-60R
December 31, 2010 SAR
Annual Funding BY$
1506 | Procurement | Aircraft Procurement, Navy
Non End
End Item
Non
Item
Total
Total
Total
Fiscal
Recurring
Recurring
Quantity
Recurring
Flyaway
Support
Program
Year
Flyaway
Flyaway
Flyaway
BY 2006 $M BY 2006 $M BY 2006 $M
BY 2006 $M
BY 2006 $M
BY 2006 $M
2000
5
192.9
-28.3
221.2
38.7
259.9
2001
---48.4
48.4
7.9
56.3
2002
---12.0
12.0
4.1
16.1
2003
-34.1
-38.3
72.4
55.0
127.4
2004
4
172.1
-69.9
242.0
111.2
353.2
2005
6
202.8
-71.0
273.8
154.5
428.3
2006
12
382.0
-56.3
438.3
197.3
635.6
2007
25
675.9
-68.0
743.9
124.2
868.1
2008
28
805.8
-89.8
895.6
107.9
1003.5
2009
30
834.0
-106.3
940.3
133.7
1074.0
2010
24
618.7
-88.6
707.3
163.0
870.3
2011
24
684.8
-105.0
789.8
201.1
990.9
2012
24
729.5
-82.8
812.3
94.9
907.2
2013
24
753.1
-45.6
798.7
51.6
850.3
2014
24
768.5
-87.1
855.6
51.8
907.4
2015
31
825.4
-81.5
906.9
43.8
950.7
2016
37
811.7
-211.4
1023.1
91.6
1114.7
2017
-----67.7
67.7
Subtotal
298
8491.3
-1290.3
9781.6
1700.0
11481.6
UNCLASSIFIED
16
MH-60R
December 31, 2010 SAR
Cost Quantity Information
1506 | Procurement | Aircraft Procurement, Navy
End Item
Recurring
Flyaway
Fiscal
(Aligned
Quantity
Year
with
Quantity)
BY 2006
$M
2000
5
192.9
2001
--2002
--2003
--2004
4
169.2
2005
6
170.6
2006
12
326.7
2007
25
686.9
2008
28
777.7
2009
30
840.8
2010
24
645.8
2011
24
647.2
2012
24
690.0
2013
24
762.0
2014
24
718.2
2015
31
918.6
2016
37
944.7
2017
--Subtotal
298
8491.3
Low Rate Initial Production
Approval Date
Approved Quantity
Reference
Start Year
End Year
Initial LRIP Decision
5/10/1999
21
ADM
2002
2007
Current Total LRIP
4/5/2005
15
ADM
2002
2007
In May 1999, Low Rate Initial Production (LRIP) was approved by Assistant Secretary of the Navy Research,
Development and Acquisition ASN(RDA) for a total LRIP quantity of 21, which was 8.6% of the total procurement
(243). In April 2005, an Acquisition Decision Memorandum was approved to reduce the LRIP quantity from 21
to 15 which was 5.0% of the total procurement (298). Program is now in Full Rate Production (FRP).
UNCLASSIFIED
17
MH-60R
December 31, 2010 SAR
Foreign Military Sales
None
Nuclear Cost
None
UNCLASSIFIED
18
MH-60R
December 31, 2010 SAR
Unit Cost
Unit Cost Report
BY2006 $M
Current UCR
Baseline
(NOV 2010 APB)
Unit Cost
Program Acquisition Unit Cost (PAUC)
Cost
Quantity
Unit Cost
Average Procurement Unit Cost (APUC)
Cost
Quantity
Unit Cost
Program Acquisition Unit Cost (PAUC)
Cost
Quantity
Unit Cost
Average Procurement Unit Cost (APUC)
Cost
Quantity
Unit Cost
Current Estimate
(DEC 2010 SAR)
BY
% Change
13079.1
300
43.597
13302.9
300
44.343
+1.71
11360.2
298
38.121
11481.6
298
38.529
+1.07
BY2006 $M
Revised
Original UCR
Baseline
(MAY 2004 APB)
Unit Cost
BY2006 $M
BY2006 $M
Current Estimate
(DEC 2010 SAR)
BY
% Change
9894.9
243
40.720
13302.9
300
44.343
+8.90
8361.1
241
34.693
11481.6
298
38.529
+11.06
UNCLASSIFIED
19
MH-60R
December 31, 2010 SAR
Unit Cost History
Date
JUN 1995
MAY 2004
MAY 2004
SEP 2008
NOV 2010
DEC 2009
DEC 2010
Original APB
APB as of January 2006
Revised Original APB
Prior APB
Current APB
Prior Annual SAR
Current Estimate
BY2006 $M
PAUC
APUC
26.155
22.846
40.208
34.255
40.208
34.255
42.626
36.143
43.597
38.121
43.900
38.120
44.343
38.529
TY $M
PAUC
29.981
41.427
41.427
45.746
47.146
47.470
48.000
APUC
27.062
36.090
36.090
39.877
42.193
42.192
42.682
SAR Unit Cost History
Initial SAR Baseline to Current SAR Baseline (TY $M)
Initial PAUC
Dev Est
44.979
Econ
-1.370
Qty
-18.295
Sch
0.747
Changes
Eng
Est
3.963
11.669
Oth
0.000
Spt
3.286
Total
0.000
PAUC
Prod Est
44.979
Current SAR Baseline to Current Estimate (TY $M)
PAUC
Prod Est
44.979
Econ
-0.620
Qty
-2.278
Sch
0.366
Changes
Eng
Est
0.843 4.749
UNCLASSIFIED
Oth
0.000
Spt
Total
-0.039 3.021
PAUC
Current Est
48.000
20
MH-60R
December 31, 2010 SAR
Initial SAR Baseline to Current SAR Baseline (TY $M)
Initial APUC
Dev Est
39.877
Econ
-1.249
Qty
-15.767
Sch
0.753
Changes
Eng
Est
3.098 10.132
Oth
0.000
APUC
Prod Est
39.877
Spt
Total
3.033 0.000
Current SAR Baseline to Current Estimate (TY $M)
APUC
Prod Est
39.877
Econ
-0.591
Qty
-1.506
Sch
0.369
Changes
Eng
Est
0.158 4.414
Oth
0.000
Spt
Total
-0.039 2.805
APUC
Current Est
42.682
SAR Baseline History
Item/Event
Milestone I
Milestone II
Milestone III
IOC
Total Cost (TY $M)
Total Quantity
Prog. Acq. Unit Cost (PAUC)
SAR
Planning
Estimate (PE)
N/A
N/A
N/A
N/A
N/A
N/A
N/A
SAR
Development
Estimate (DE)
N/A
JUL 1993
OCT 2001
MAR 2001
11424.7
254
44.979
UNCLASSIFIED
SAR
Production
Estimate (PdE)
N/A
JUL 1993
JAN 2006
DEC 2005
11424.7
254
44.979
Current
Estimate
N/A
JUL 1993
MAR 2006
DEC 2005
14399.9
300
48.000
21
MH-60R
December 31, 2010 SAR
Cost Variance
Cost Variance Summary
SAR Baseline (Prod Est)
Previous Changes
Economic
Quantity
Schedule
Engineering
Estimating
Other
Support
Subtotal
Current Changes
Economic
Quantity
Schedule
Engineering
Estimating
Other
Support
Subtotal
Total Changes
CE - Cost Variance
CE - Cost & Funding
Summary Then Year $M
RDT&E
Proc
1375.7
10049.0
MILCON
--
Total
11424.7
-10.1
--+188.7
+113.5
--+292.1
-164.0
+1385.4
+100.7
+46.9
+1238.6
--83.4
+2524.2
---------
-174.1
+1385.4
+100.7
+235.6
+1352.1
--83.4
+2816.3
+0.2
--+17.0
-4.2
--+13.0
+305.1
1680.8
1680.8
-12.2
-+9.2
+0.3
+76.8
-+71.8
+145.9
+2670.1
12719.1
12719.1
------------
-12.0
-+9.2
+17.3
+72.6
-+71.8
+158.9
+2975.2
14399.9
14399.9
UNCLASSIFIED
22
MH-60R
SAR Baseline (Prod Est)
Previous Changes
Economic
Quantity
Schedule
Engineering
Estimating
Other
Support
Subtotal
Current Changes
Economic
Quantity
Schedule
Engineering
Estimating
Other
Support
Subtotal
Total Changes
CE - Cost Variance
CE - Cost & Funding
December 31, 2010 SAR
Summary Base Year 2006 $M
RDT&E
Proc
1519.0
9108.0
MILCON
--
Total
10627.0
---+172.1
+119.2
--+291.3
-+1152.2
+47.8
+40.3
+1094.5
--83.0
+2251.8
---------
-+1152.2
+47.8
+212.4
+1213.7
--83.0
+2543.1
---+14.9
-3.9
--+11.0
+302.3
1821.3
1821.3
--+0.4
+0.3
+59.8
-+61.3
+121.8
+2373.6
11481.6
11481.6
------------
--+0.4
+15.2
+55.9
-+61.3
+132.8
+2675.9
13302.9
13302.9
Previous Estimate: December 2009
UNCLASSIFIED
23
MH-60R
December 31, 2010 SAR
RDT&E
Current Change Explanations
Revised escalation indices. (Economic)
Adjustment for current and prior escalation. (Estimating)
Increase for new capability for Aluminum Gear Box. (Engineering)
Decrease in revised estimate for Automatic Radar Periscope Detection and
Discrimination (ARPDD) and MODE 5 Information Friend or Foe (IFF). (Estimating)
RDT&E Subtotal
Procurement
$M
Base
Then
Year
Year
N/A
+0.2
-0.2
-0.2
+14.9
+17.0
-3.7
-4.0
+11.0
+13.0
$M
Current Change Explanations
Revised escalation indices. (Economic)
Schedule variance resulting from moving six helicopters from FY 2014 and five
helicopters in FY 2015 into FY 2016. (Schedule)
Additional Schedule Variance associated with the stretch-out of the annual procurement
profile and its Advance Procurement impacts. (Schedule)
Increase in enginering costs due to incorporation of Sikorsky Airframe Engineering
Change Proposals (ECPs). (Engineering)
Adjustment for current and prior escalation. (Estimating)
Increase in revised cost estimate for Sikorsky Airframe follow-on multi-year costs.
(Estimating)
Decrease in revised cost estimate for Lockheed Martin Mission Systems and Common
Cockpit follow-on multi-year costs and re-phasing of associated contract Advance
Procurement. (Estimating)
Decrease in revised cost estimate for Government Furnished Equipment (GFE)
requirements and prior year actuals. (Estimating)
Increase in revised cost estimate for Engineering costs and obsolescence associated
with Ku Band Common Data Link (CDL), Airborne Low Frequency Sonar (ALFS),
Automatic Radar Periscope Detection and Discrimination (ARPDD), and Production
Line Shutdown. (Estimating)
Decrease in revised cost estimate for ALFS costs and Ancillary kit quantity re-phase.
(Estimating)
Adjustment for current and prior escalation. (Support)
Increase in Other Support as a result of change in procurement profile. (Support)
Increase in Initial Spares due to fleet introduction of ARPDD configuration of Multi-Mode
Radar (MMR) and CDL. (Support)
Procurement Subtotal
UNCLASSIFIED
Base
Year
N/A
Then
Year
-12.2
0.0
+9.2
+0.4
0.0
+0.3
+0.3
+1.7
+1.5
+169.5
+201.1
-23.9
-28.0
-66.9
-75.5
+70.7
+85.3
-91.3
-107.6
+0.2
+40.9
+0.5
+49.0
+20.2
+22.3
+121.8
+145.9
24
MH-60R
December 31, 2010 SAR
Contracts
Appropriation: Procurement
Contract Name
Contractor
Contractor Location
Contract Number, Type
Award Date
Definitization Date
Initial Contract Price ($M)
Target
Ceiling
Qty
73.5
N/A
0
Variance
Cumulative Variances To Date
Previous Cumulative Variances
Net Change
Common Data Link (CDL) FY08
Harris Corporation
Melbourne, FL 32902
N00019-04-C-0130, CPIF/CPAF
November 30, 2006
November 30, 2006
Current Contract Price ($M)
Target
Ceiling
Qty
145.2
N/A
0
Estimated Price At Completion ($M)
Contractor
Program Manager
131.3
143.8
Cost Variance
Schedule Variance
-10.4
-5.5
-4.9
-0.6
-0.7
+0.1
Cost And Schedule Variance Explanations
The unfavorable net change in cost variance was primarily driven by both the Prime and subcontractor adding
additional staff and higher skill sets to the program to correct problems found during testing and to recover schedule.
The unfavorable net change in schedule variance was due to the subcontractor's difficulties in the development and
testing of the Multiplexer (MUX) and Data Processor Assemblies (DPAs) on the program.
Contract Comments
The current contract price has increased by $71.7M. The FY 2008 Common Data Link Contract (CDL) Hawklink
procurement contract was awarded on August 29, 2008 for procurement of 14 Airborne Radio Multipurpose/Special
Equipment (ARQ-58's) and five Shipboard Radio Multi-purpose/Special Equipment (SRQ-4(Ku)) which increased
the contract price by $53M. Additional increase of $15.7M consists of scope growth in production test equipment,
Test and Evaluation delays and obsolescence and $3M funding cost overrun.
A partial stop work order was issued on November 12, 2010, to remain within budget while providing a critical Ku
band data link capability to the Fleet on schedule. AN/SRQ shipboard terminal deliveries were approximately six
months behind schedule and would not make the required shipboard installation dates. Harris was contractually
required to deliver five shipboard terminals and 14 airborne terminals. The partial stop work order terminated the
AN/SRQ-4 shipboard terminal efforts in order to focus on delivery of AN/ARQ-58 airborne terminals.
This contract effort is over 90% complete and will no longer be reported.
UNCLASSIFIED
25
MH-60R
Appropriation: Procurement
Contract Name
Contractor
Contractor Location
Contract Number, Type
Award Date
Definitization Date
Initial Contract Price ($M)
Target
Ceiling
Qty
1065.0
N/A 139
December 31, 2010 SAR
LM MS2 MY Production Lots (5-9)
Lockheed Martin Mission Systems & Sensors (LM MS2)
Owego, NY 13827-3998
N00019-06-C-0098, FFP
August 16, 2007
August 16, 2007
Current Contract Price ($M)
Target
Ceiling
Qty
1101.0
N/A
131
Estimated Price At Completion ($M)
Contractor
Program Manager
1101.1
1101.1
Cost And Schedule Variance Explanations
Cost and Schedule variance reporting is not required on this FFP contract.
Contract Comments
Lockheed Martin Mission Systems & Sensors (LM MS2) is responsible for the integration of the Mission Avionics
Systems into the MH-60R. All aircraft procured under the Lot 5 and Lot 6 production contracts were delivered to the
Fleet. As of March 22, 2011 LM MS2 has deliverednine aircraft under the Lot 7 production contract.
Initial contract quantity of 138 previously reported was in error. The initial contract quantity was 139. Subsequently
MH-60R program quantities were reduced by eight from139 to 131, four each in FY 2010 and FY 2011.
The current contract price target was increased due to a contract modification awarded in December 2009 for
additional scope for procurement of the Common Cockpit (CC) for FY 2010 and FY 2011.
UNCLASSIFIED
26
MH-60R
Appropriation: RDT&E
Contract Name
Contractor
Contractor Location
Contract Number, Type
Award Date
Definitization Date
Initial Contract Price ($M)
Target
Ceiling
Qty
144.0
N/A N/A
Variance
Cumulative Variances To Date
Previous Cumulative Variances
Net Change
December 31, 2010 SAR
LM MS2 ARPDD
Lockheed Martin Mission Systems & Sensors (LM MS2)
Owego, NY 13827-3998
N00019-08-C-0005, CPIF
June 26, 2008
June 26, 2008
Current Contract Price ($M)
Target
Ceiling
Qty
146.4
N/A
N/A
Estimated Price At Completion ($M)
Contractor
Program Manager
147.5
148.9
Cost Variance
Schedule Variance
-4.0
-1.3
-2.7
-0.8
-2.9
+2.1
Cost And Schedule Variance Explanations
The unfavorable net change in cost variance is primarily attributed to platform integration and subcontractor efforts.
The largest portion of the overruns can be directly traced to continued corporate rate increases.
The favorable net change in schedule variance was due to insertion of multiple Product Test Assurance (PTA)
events into the schedule as risk reduction.
Contract Comments
The current contract price has increased by $2.4M. A contract modification was issued for procurement of one
additional AN/APS-147 Multi-Mode Radar (MMR) for $2.6M required to support detailed performance comparison
testing. Another contract modification to add scope for additional hardware needed to support System Design and
Development (SDD) was issued increasing the contract price by $0.4M. Additionally, a contract modification was
issued to descope Joint Mission Planning System (JMPS) related efforts from this contract, which decreased the
contract price by $0.6M
UNCLASSIFIED
27
MH-60R
Appropriation: Procurement
Contract Name
Contractor
Contractor Location
Contract Number, Type
Award Date
Definitization Date
Initial Contract Price ($M)
Target
Ceiling
Qty
59.8
65.0 N/A
Variance
Cumulative Variances To Date
Previous Cumulative Variances
Net Change
December 31, 2010 SAR
Common Data Link (CDL) FY09
L3 Communications Corporation
Salt Lake City, UT 84116-0850
N00019-09-C-0059, FPIF
June 12, 2009
June 12, 2009
Current Contract Price ($M)
Target
Ceiling
Qty
101.4
101.4
N/A
Estimated Price At Completion ($M)
Contractor
Program Manager
101.4
101.4
Cost Variance
Schedule Variance
-8.0
-0.3
-7.7
-1.2
-0.5
-0.7
Cost And Schedule Variance Explanations
The unfavorable net change in cost variance is due to more staffing being added to the program to help with
software coding and engineering in an effort to recover delayed schedule activities.
The unfavorable net change in schedule variance is due to delays in software design and coding, delays in Initial
Critical Design Review (ICDR) and delayed starts of some testing due to late schedule material deliveries. L3 is
attempting to mitigate slips.
Contract Comments
The current contract price has increased by $41.6M. The FY 2010 Option for CDL Hawklink contract was awarded
on March 15, 2010 for $37.5M and procured 51 ARQ-59 airborne terminals and eleven SRQ-4 shipboard terminals.
Previously, a $4.1M contract was awarded for the procurement of three additional Airborne Radio
Multipurpose/Special Equipment (ARQ) terminals and two Shipboard Radio Multipurpose/Special Equipment (SRQ)
terminals.
UNCLASSIFIED
28
MH-60R
Appropriation: Procurement
Contract Name
Contractor
Contractor Location
Contract Number, Type
Award Date
Definitization Date
Initial Contract Price ($M)
Target
Ceiling
Qty
81.1
N/A
23
December 31, 2010 SAR
Raytheon Integrated Defense Systems ALFS Lots 7 - 8
Raytheon Integrated Defense Systems
Portsmouth, RI 02871-1087
N00019-09-C-0096, FFP
September 22, 2009
September 22, 2009
Current Contract Price ($M)
Target
Ceiling
Qty
140.8
N/A
41
Estimated Price At Completion ($M)
Contractor
Program Manager
140.8
140.8
Cost And Schedule Variance Explanations
Cost and Schedule variance reporting is not required on this FFP contract.
Contract Comments
The current contract price has increased by $59.7M. A Contract Line Item Number (CLIN) was added on March 28,
2010 for the Lot 8 procurement of 18 Airborne Low Frequency Sonar (ALFS) systems and two Sonar Transmitter
Receivers (ST/R).
UNCLASSIFIED
29
MH-60R
Appropriation: Procurement
Contract Name
Contractor
Contractor Location
Contract Number, Type
Award Date
Definitization Date
Initial Contract Price ($M)
Target
Ceiling
Qty
2090.0
N/A 139
December 31, 2010 SAR
SAC MY Production Lots (5-9)
Sikorsky Aircraft Corporation (SAC)
Stratford, CT 06614-1378
W58RGZ-08-C-0003, FFP
December 12, 2007
December 12, 2007
Current Contract Price ($M)
Target
Ceiling
Qty
1979.9
N/A
131
Estimated Price At Completion ($M)
Contractor
Program Manager
1979.9
1979.9
Cost And Schedule Variance Explanations
Cost and Schedule variance reporting is not required on this FFP contract.
Contract Comments
Sikorsky Aircraft Corporation (SAC) delivered the final aircraft under the Lot 6 procurement contract on August 10,
2010 to Lockheed Martin Mission Systems & Sensors (LM MS2). As of December 20, 2010 SAC has delivered
nine of 30 aircraft under the Lot 7 procurement contract.
Initial contract quantity of 138 previously reported in SAR was in error. The initial contract quantity was 139.
Subsequently MH-60R program quantities were reduced by eight from 139 to 131, four each in FY 2010 and FY
2011.
The current contract price target was decreased due to the reduction of aircraft quantities.
UNCLASSIFIED
30
MH-60R
December 31, 2010 SAR
Deliveries and Expenditures
Deliveries To Date
Plan To Date
Development
Production
Total Program Quantities Delivered
Total Acquisition Cost
Expenditures To Date
Percent Expended
Total Funding Years
Actual To Date
2
89
91
Total Quantity
2
89
91
Expenditures and Appropriations (TY $M)
14399.9
Years Appropriated
6002.0
Percent Years Appropriated
41.68%
Appropriated to Date
28
Percent Appropriated
2
298
300
Percent
Delivered
100.00%
29.87%
30.33%
22
78.57%
8726.7
60.60%
Total program quantities delivered as of March 22, 2011.
UNCLASSIFIED
31
MH-60R
December 31, 2010 SAR
Operating and Support Cost
Assumptions And Ground Rules
Estimated Duration = Fiscal Year (FY) 2006 to 2038
MH-60R Fatigue Life = 10,000 Hours or approximately 22 years
Aircraft Attrition Rate = 0.6% of TAI per Year
Aircraft Pipeline Rate = 15% of TAI per
Total Procured MH-60R Aircraft = 300 (298 + 2 RDT&E)
Aircraft per Fleet Squadron = 12
Aircraft per Fleet Replacement Squadron = 13
Average Flight Hours per Month per Aircraft = 37.9
Total Operating Aircraft Years = 5409
The Base Year (BY) cost is based on the approved Acquisition Program Baseline (APB) and the Service Cost
Position (SCP) approved November 2010. Reporting format has changed from the 1992 Cost Analysis
Improvement Group (CAIG) O&S to the 2007 Cost Assessment and Program Evaluation (CAPE) format.
The antecedent system is the SH-60B/F aircraft. All costs are from the FY 2008 Navy Visibility and Management of
Operating and Support Costs (VAMOSC) Aviation Type Model Series Report (ATMSR) database and the FY 2008
Aircraft Program Data File (APDF) Primary Authorized Aircraft (PAA). ATMSR (1.0) Unit-Level Manpower was
adjusted to account for composite pay rate burdening deficiencies. (6.0) Indirect Support is a function of Unit-Level
Manpower costs.
Cost Element
Costs BY2006 $M
MH-60R
Dollars/per (A/C)
Unit-Level Manpower
Unit Operations
Maintenance
Sustaining Support
Continuing System Improvements
Indirect Support
Other
Total Unitized Cost (Base Year 2006 $)
Total O&S Costs $M
Base Year
Then Year
SH-60B/F
Dollars/Per (A/C)
2.09
0.25
2.88
0.14
0.37
0.38
0.00
6.11
MH-60R
SH-60B/F
36067.5
49181.0
UNCLASSIFIED
2.04
0.19
1.97
0.12
0.11
0.42
0.00
4.85
---
32